PROPERTY CODE
CHAPTER 29. FORCED SALE OF OWNER'S INTEREST IN CERTAIN REAL
PROPERTY AS REIMBURSEMENT FOR PROPERTY TAXES PAID BY CO-OWNER ON
OWNER'S BEHALF
§ 29.001. APPLICATION OF CHAPTER. This chapter applies
only to real property that is not exempt from forced sale under the
constitution or laws of this state and is:
(1) received by a person as a result of the death of
another person:
(A) by inheritance;
(B) under a will;
(C) by a joint tenancy with a right of
survivorship; or
(D) by any other survivorship agreement in which
the interest of the decedent passes to a surviving beneficiary
other than an agreement between spouses for community property with
a right of survivorship; or
(2) owned in part by a nonprofit organization that is
exempt from federal income tax under Section 501(a), Internal
Revenue Code of 1986, and its subsequent amendments, by being
listed as an exempt organization under Section 501(c)(3), Internal
Revenue Code of 1986, and its subsequent amendments, that:
(A) has been incorporated in this state for at
least one year;
(B) has a corporate purpose to develop affordable
housing that is stated in the articles of incorporation or charter;
(C) has at least one-fourth of its board of
directors residing in the county in which the property is located;
and
(D) engages primarily in the building, repair,
rental, or sale of housing for low-income individuals or families.
Added by Acts 1995, 74th Leg., ch. 981, § 1, eff. Aug. 28, 1995.
Amended by Acts 2001, 77th Leg., ch. 891, § 1, eff. Sept. 1,
2001.
§ 29.002. PETITION FOR FORCED SALE. (a) A person,
including a nonprofit organization, that owns an undivided interest
in real property to which this chapter applies may file in the
district court in a county in which the property is located a
petition for a court order to require another owner of an undivided
interest in that property to sell the other owner's interest in the
property to the person if:
(1) the person has paid the other owner's share of ad
valorem taxes imposed on the property for any three years in a
five-year period or, in the case of a nonprofit organization, has
paid the other owner's share of ad valorem taxes imposed on the
property for any two years in a three-year period; and
(2) the other owner has not reimbursed the person for
more than half of the total amount paid by the person for the taxes
on the owner's behalf.
(b) The petition must contain:
(1) a description of the property;
(2) the name of each known owner of the property;
(3) the interest held by each known owner of the
property;
(4) the total amount paid by the petitioner for the
defendant's share of ad valorem taxes imposed on the property; and
(5) if applicable, the amount paid by the defendant to
the petitioner to reimburse the petitioner for paying the
defendant's share of ad valorem taxes imposed on the property.
Added by Acts 1995, 74th Leg., ch. 981, § 1, eff. Aug. 28, 1995.
Amended by Acts 2001, 77th Leg., ch. 891, § 1, eff. Sept. 1,
2001.
§ 29.003. HEARING ON PETITION FOR FORCED SALE. At a
hearing on a petition filed under Section 29.002, the petitioner
must prove by clear and convincing evidence that:
(1) the petitioner has paid the defendant's share of ad
valorem taxes imposed on the property that is the subject of the
petition for any three years in a five-year period or, in the case
of a nonprofit organization, the petitioner has paid the
defendant's share of ad valorem taxes imposed on the property that
is the subject of the petition for any two years in a three-year
period;
(2) before the date on which the petition was filed the
petitioner made a demand that the defendant reimburse the
petitioner for the amount of the defendant's share of ad valorem
taxes imposed on the property paid by the petitioner; and
(3) the defendant has not reimbursed the petitioner
more than half of the amount of money the petitioner paid on the
defendant's behalf for the defendant's share of ad valorem taxes
imposed on the property.
Added by Acts 1995, 74th Leg., ch. 981, § 1, eff. Aug. 28, 1995.
Amended by Acts 2001, 77th Leg., ch. 891, § 1, eff. Sept. 1,
2001.
§ 29.0035. DEMAND TO UNKNOWN DEFENDANT. If the address
or identity of the defendant is unknown, the demand of the
petitioner for reimbursement from the defendant required by Section
29.003(2) may be met by publication in a newspaper in the county in
which the property is located once each week for four consecutive
weeks, with the final publication occurring not later than the 30th
day before the date on which the petition is filed. The publication
must contain the demand for reimbursement and:
(1) a general description of the property involved;
(2) the legal description of the property according to
the survey of the property, including the number of the lot and
block or any other plat description that may be of record if the
property is located in a municipality;
(3) the county in which the property is located;
(4) the interest of the defendant; and
(5) the name and address of the petitioner.
Added by Acts 2001, 77th Leg., ch. 891, § 2, eff. Sept. 1, 2001.
§ 29.004. COURT-ORDERED SALE. On completion of the
hearing on a petition filed under Section 29.002, if the court is
satisfied that the petitioner has made the requisite proof under
Section 29.003, the court shall enter an order that divests the
defendant's interest in the real property that is the subject of the
petition and that orders the petitioner to pay to the defendant an
amount computed by subtracting the outstanding amount of money the
defendant owes to the petitioner for payment of the defendant's
share of ad valorem taxes imposed on the property from the fair
market value of the defendant's interest in the property as
determined by an independent appraiser appointed by the court. The
court's order may also direct the defendant to execute and deliver
to the petitioner a deed that conveys to the petitioner the
defendant's interest in the property.
Added by Acts 1995, 74th Leg., ch. 981, § 1, eff. Aug. 28, 1995.
